Saturday, April 25, 2009

Kirit Somaiya blows lid off multi-crore sugar scam

BJP leader and party Lok Sabha candidate from Mumbai North East Dr Kirit Somaiya has sought to blow the lid off a multi-thousand crore sugar scam and demanded an impartial probe by CBI.

Sugar prices have been sky rocketing thanks to the “faulty and lopsided” policies of the UPA government, Dr Somaiya pointed out the centre has been non-transparent and manipulative to say the least.

Explaining the dichotomy of the policies, Dr Somaiya explained that the government first allowed export of over 48 lakh tones of sugar last year at Rs 12 to Rs 13 per kg. Over and above, the private exporters were also given a subsidy of Rs 1.45 per hg. This all happened when the self-styled “Shetkari Raja” (King of farmers) declared that India was a sugar surplus country. The total consumption of Sugar is 230 lakh tonnes annually.

Most shockingly, and not too soon after, the govt. decided to import sugar, at a higher price of Rs. 22/- to 24/- per kg claiming shortage of the commodity. Now in February 2009, the Indian Govt. allowed duty free imports of white sugar up to 10 lakh tonnes and also decided to do away with export obligation for import.

All this has resulted in the sugar prices rocketing up from Rs. 18.50 per kg. in July 2008 to Rs. 26/- per kg. in April 2009.

As per the official record of the Consumer Affairs Ministry of the gov ernment of India, Sugar prices over the past few months are:

July 2008 : Rs. 18.50/- per kg
December 2008 : Rs. 21.50/- per kg.
January 2009 : Rs. 22.00/- per kg.
Feb/Mar 2009 : Rs. 24.00/- per kg
11 April 2009 : Rs. 26.00/- per kg.

The current retail price is around Rs 27 a kg.

The UPA government time and again has been claiming to be pursuing the cause of the Aam Admi, but its own ad-hoc policies on sugar have made the sugar “not so sweet” for the common man, Dr Somaiya said.

The sugar scam, coming as it does in the wake of the wheat scam, exposes the faulty policies of the UPA government, he explained. The UPA government stood exposed due to the import of sub-standard wheat causing havoc in the civic distribution system.

It was apparent that somebody somewhere must have reaped the benefit of the export-import scams. This must be thoroughly probed and culprits must be brought to book, whether the government, the sugar lob by or the sugar lobby representative in the government.

The UPA government policies have been helping only a particular section and rulers have shown scant respect for the common man, he said.

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